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VAuroch comments on What legal ways do people make a profit that produce the largest net loss in utility? - Less Wrong
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For clarification: I took factory farms as including those which focus on plants and produce, not just livestock.
Regardless, I value utility given to humans much higher than I value that given to animals. It is far from obvious to me that the animal side outweighs the human side.
Finally, please list three alternatives to factory animal farms which provide higher net utility.
Here are four, all of which have higher net utility for humans only:
1)Status quo pre-factory farms
2) Modern CSAs on a broader scale
3) General movement of the average diet to be closer to vegetarian (the demand for factory-farmed meat is mostly artificially created and superstimulus-based anyway)
4) The 'grass farmer' farm model